employee training and development: how to measure effectiveness and impact - webinar 09.25.14
DESCRIPTION
In this webinar how to make sure the investment of time and resources is making a positive business impact. www.bizlibrary.com/webinarsTRANSCRIPT
EMPLOYEE TRAINING AND
DEVELOPMENT:
How To Measure
Effectiveness and Impact
? How do you currently measure your training program and efforts?
WHAT WE HOPE YOU’LL LEARN
Training metrics – where we’ve been and where we’re going.
How to determine goals and key indicators.
Five step process to create a measurement plan.
BIZLIBRARY.COM
Overall spending on employee training in U.S. organizations is $164 billion.
COMPANY SIZE (# of Employees)
Smaller organizations typically
spend more per employee
than larger organizations.
$700
$964
$1,800
COST PER EMPLOYEE PER YEAR
$1,195
KPI’S AND BENCHMARKS
How do you currently measure success
Use existing data to set benchmarks
Key Performance Indicators for employees and the organization
MEASUREMENT AND BUSINESS
1951: EDWARD DEMING
The power of analytics
to drive improvement.
1954: PETER DRUCKER
The business of
management and the
knowledge worker.
1959: DONALD KIRKPATRICK
Measuring the impact
and ROI of training.
1970: JACK PHILLIPS
Data-driven return on
investment.
KIRKPATRICK™ – PHILLIPS MODEL
LEVEL 1
REACTION participant
satisfaction
LEVEL 2
LEARNING knowledge, skills
and attitudes
LEVEL 3
BEHAVIOR Application
and on-the-
job learning
LEVEL 4
RESULTS business
impact
LEVEL 5
RETURN ON INVESTMENT
KIRKPATRICK PARTNERS LLC
THE COST OF ONE GALLON OF GAS
2013: $3.61
1970: $0.36
1959: $0.25
2013: $271,600
THE AVERAGE COST OF A NEW HOUSE
1959: $12,400
1970: $23,500
2013
1970
1959
SPUTNIK – launch of first manmade satellite
FIRST FLOPPY DISK
3D PRINTING
THEN AND NOW
It's not the that's right that makes something work; it's the that's wrong that messes everything up.
Measuring, Managing and Maximizing Performance Will Kaydos
5%
95%
ISOLATION TECHNIQUES
SYSTEM/PROCEDURE CHANGES
INCENTIVE/MOTIVATION
MANAGER SUPPORT/ATTENTION
EXTERNAL FACTORS
EFFECT OF LEARNING ON IMPROVEMENT
TOTAL IMPROVEMENT
AFTER PROGRAM
TREND LINE ANALYSIS
CONTROL GROUP
Recruiters and Hiring Managers Group 1
Recruiters and Hiring Managers Group 2
OTHER METHODS
PARTICIPANT AND MANAGER ESTIMATION OF IMPACT – only as good as the employees ability to provide information.
SENIOR MANAGEMENT ESTIMATION – bias and simple human error.
SUCCESS CASE METHOD – what did this person learn that was new? how did this person use the learning on the job? did the usage help produce a worthwhile outcome?
SUCCESS CASE METHOD
What, if anything, did this person learn that
was new?
How, if at all, did this person use the new
learning in some sort of job-specific behavior?
Did the usage of the learning help to produce any sort of worthwhile outcome?
1 2
3
SOURCE: Telling Training’s Story by Robert O. Brinkerhoff
TRAINING IMPACT
Manager Support
Opportunities to apply learning on the job
Peer support
On-demand access
Leadership involvement
STEPS TO CREATE A MEASUREMENT AND EVALUATION PLAN
Focus and plan the evaluation. 1
Create an impact model that defines potential results
and benefits. 2
Survey to gauge overall success versus non-success
rates. 3
Select success and non-success instances. 4
Formulate conclusions and recommendations, value,
and return-on-investment. 5
5
FOCUS AND PLAN THE EVALUATION
Identify performance areas
Engage all of the key stakeholders
Clarify and define success
Establish the data points
CREATE A MODEL FOR SUCCESS
Organizational Goals
Business Unit Goals
Employee Behaviors or Actions
Employee Skills or Knowledge
GAUGE OVERALL SUCCESS VS. NON-SUCCESS RATES
WHICH STATEMENT BELOW BEST DESCRIBES YOUR EXPERIENCE SINCE PARTICIPATING IN THE PERFORMANCE MANAGEMENT TRAINING?
• I learned something new, I have used it, and it has led to some very worthwhile results.
• I learned and tried some new things but can’t point to any very worthwhile results yet.
• While I may have learned something new, I have not been able to use it
yet.
• I already knew about and was doing the things this training taught.
• I don’t think I can really use what I learned in the training.
SELECT SUCCESS AND NON-SUCCESS INSTANCES
MANAGER SUPPORT OPPORTUNITY TO APPLY LEARNING
PEER SUPPORT
ON-DEMAND ACCESS TO RESOURCES
SENIOR LEADER INVOLVEMENT
RECOMMENDATIONS, VALUE, AND ROI
Areas of increased performance
The value of this increase
The costs to deliver value
Recommended improvements to increase value
REPORT: VALUE OF TRAINING ON WRITING SKILLS FOR ACCOUNT REPRESENTATIVES AND CUSTOMER SERVICE REPS
Goal: Reduce turn around time on bug fixes from an
average of 21 days to 10 days.
x x x x x x x
x x x x x x x
x x x x x x x
x x x x x x x
x x x
$1,155,000
80% OF THE BUGS REQUIRED A RETURN OF
THE WRITTEN REPORT TO THE REP FOR CLARIFICATION.
$50 / DAY – OVER 6 MONTHS – 1,100 BUGS
VALUE: The expected value to be gained is measured by using the average revenue lost for each day the service is down for customers due to sloppy or unclear written explanations of bugs to the programmers.
TRAINING COSTS:
Human Resources: $90,000 Reps: $300.000 Total = $390,000
VALUE ADDED FROM IMPROVED PERFORMANCE: 500 reps X $600/day/rep Access to online writing courses including time to take and complete 5
courses each and successfully complete writing evaluations to prove
increased skills. 2 HR reps needed to administer program and build writing
evaluations.
IMPACT: • Less than 10% of written reports of bugs
were returned for rewrites in 6 months
after program.
• Average bug fix reduced from 21 days to
12 days.
• Total bugs affected 1,210.
TOTAL VALUE GAINED:
$544,500 ON A $390,000 PROGRAM
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Jessica Petry
Sr. Marketing Specialist
@JessLPetry
@BizLibrary
Chris Osborn
Vice President of Marketing
@chrisosbornstl